Request. Summary of Request. Agenda Item. Applicant City of Virginia Beach Public Hearing December 12, 2018 Short Term Rentals

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1 Applicant Public Hearing December 12, 2018 Short Term Rentals Agenda Item D3 Request An to amend Sections 102, 111, 401, 501, 601, 901, 1110, 1125, 1521 and 2203 of the City Zoning and Section 5.2 of the Oceanfront Resort District Form-Based Code and add Sections and of the City Zoning pertaining to the definition, requirements and use of home sharing and short term rentals. Summary of Request At the City Council hearing on September 18, 2018, City Council referred this to the Planning Commission to be considered at the November Planning Commission meeting. Following numerous workshops, Council drafted this which defines, identifies requirements and identifies the use of home sharing and short term rentals. A Short Term Rental Overlay District, is also added to the for future considerations. Home sharing, defined a dwelling in which a room or rooms are offered for rental for compensation for a period of less than thirty (30) consecutive days by an owner who utilizes the dwelling as his principal residence and occupies the dwelling during any such rental period, is a permitted use in all districts that permit dwelling units. The sole requirement is that the property must be registered with the Commissioner of the Revenue. Short term rental, defined as a dwelling that does not meet the definition of home sharing in which a room or rooms, or the entire dwelling are rented for less than thirty (30) consecutive days for compensation, is a conditional use in all districts that allow for dwelling units, with the exception of Sandbridge Special Service District (SSD), in which it is a permitted use. All short term rental properties, including those located in the Sandbridge SSD, must meet the requirements of Section 241.2, summarized below. 1. Parking - a minimum of one space per bedroom is required. If unable to provide required parking on-site, a parking plan shall be reviewed by the Zoning Administrator. Stacking of vehicles is permitted. No on-street parking shall be part of the parking plan. 2. Special Events - a special event permit is required for a gathering of more than 50 people, with no event exceeding 100 people. A property may have no more than three events in a calendar year. 3. Contact - owner or operator must provide the name and phone number of a responsible person who is available to contact and address conditions occurring at the short term rental within 30 minutes. Physical response to the site is not required. 4. Signage - each short term rental is permitted four square feet of signage. Architectural signs naming the home are not included. 5. Registration - short term rentals must maintain registration with the Commissioner of Revenue and pay all applicable taxes. 6. Code posting - summaries of the following codes must be posted in a conspicuous place: (noise), 31-26, and (solid waste collection), 12-5 (fires on the beach, (fireworks), and a copy of the parking plan. Page 1

2 7. Trash - all trash in automated refuse receptacles. Comply with City Code (31-26, and 31-28). 8. Contracts - short term rental shall have no more than one rental contract during a seven day period. 9. Insurance - owner or operator shall provide proof of liability insurance of at least one million dollars ($1,000,000). 10. Noise - no outdoor amplified sound between 10 p.m. and 10 a.m. 11. Occupancy - maximum number of persons on property between 11 p.m. and 7 a.m. is two individuals per bedroom plus four additional persons. 12. Guest Log - owner or operator must maintain a guest log including name, address and telephone number of all Overnight Lodgers. Must be made available to any City employee enforcing the Zoning or other applicable City Codes. 13. Grandfathering - any short term rental registered and paid the transient occupancy tax prior to July 1, 2018 does not need a conditional use permit. Properties are still required to meet conditions of Section Any improvement or expansion that expands overall footprint by 25% or 1,000 square feet, whichever is less, will revoke grandfather status and must obtain a conditional use permit. 14. Safety - smoke detectors (which may be wireless), a fire extinguisher and, where natural gas or propane is present, carbon monoxide detectors must be installed and kept in working order. 15. Accessory Structures - no accessory structures shall be used as short term rentals. 16. Penalty - violations of conditions of a use permit or grandfather status, City Council may revoke the use permit or grandfather status, provide proper notice and procedures are followed. 17. Duration - All conditional use permits are valid for two years. Renewal of the use permit is done administratively by the Planning Department. Planning shall notify City Council, in writing, prior to any administrative renewal. On November 29, 2018, Planning Commission held a workshop to discuss the ordinance given to them by City Council to consider. Recommendation Staff recommends approval of this. Short Term Rentals have been a long-standing practice in Virginia Beach, yet the Zoning currently does not address the use. Given changes in the rental industry, particularly on-line rental platforms, it is necessary for the short term rental use to be considered. This will amend the Zoning to provide requirements for short term rentals, as well as identify where they are a permitted use and where they are a conditional use. This also creates a Short Term Rental Overlay District should any communities or neighborhoods wish to make them a permitted use in the future. It is Staff s opinion that this allows for the short term rental use with reasonable regulations that will protect the quality of life of our City s stable residential areas. Page 2

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